Essar Energy Transition secures US$400 million in funding

The financing package includes the successful amendment and restatement of the company’s Receivables Purchase Agreement (RPA), expanding total commitments from US$150 million to US$350 million.

Originally established with ABN AMRO in September 2024, the new US$350 million facility introduces NatWest (RBS Invoice Finance) with a US$175 million commitment. The accession of NatWest represents a significant strategic milestone for Essar Energy Transition, marking a major expansion of its relationship with leading UK high-street financial institutions.

Alongside NatWest, long-standing banking partner ABN AMRO has increased its commitment, bringing its total participation to US$175 million.

Completing the US$400 million financing suite, Essar Energy Transition has also secured an additional US$50 million in committed financing from Natixis CIB, adding to its existing US$100 million financing facility. Together these deals enhance liquidity availability from a network of major European banking partners.

Satish Vasooja, Chief Financial Officer at Essar Energy Transition, commented: “Increased commitment from our existing lending banks, ABN AMRO and Natixis, and the addition of a UK high street bank, NatWest, supports Essar Energy Transition Fuels strategy and demonstrates the delivery of business performance. This provides us with enhanced liquidity during the volatile market conditions and completes our receivable financing programme that will deliver an optimised and stable capital structure to Essar Energy Transition Fuels as we continue to deliver essential energy security for the UK.”

Tarun Naruka, Head of Corporate and Structured Finance at Essar Energy Transition Fuels, added: “This successful transaction reflects our disciplined approach to capital management and our ability to build strong, long-term partnerships with leading financial institutions, significantly strengthening our financial resilience and diversify funding sources as we progress our business strategy.”

Andrew Barraclough, Head of ABL Origination at NatWest, said: “The addition of NatWest to this facility reflects both the strength of Essar Energy Transition’s business and the scale of its ambitions. As the company continues to invest in projects that support industrial decarbonisation, energy security and economic growth, this financing provides greater flexibility to deliver on those objectives and create long-term value.”

Read the article online at: https://www.globalhydrogenreview.com/hydrogen/07082026/essar-energy-transition-secures-us400-million-in-funding/